In 2023, Indonesia's food and beverage industry emerged as a pivotal force in the nation's economic landscape, contributing significantly to both the non-oil and gas industrial GDP, at 39.10%, and the national GDP, at 6.55%. Minister of Industry Agus Gumiwang Kartasasmita underscored the sector's resilience amidst the challenges of the Covid-19 pandemic, achieving a commendable growth rate of 4.47% during the year. Moreover, the industry demonstrated remarkable prowess in exports, reaching an impressive USD 41.70 billion in 2023, maintaining a positive trade balance of USD 25.21 billion. This success has attracted substantial investment, totaling IDR 85.10 trillion in the same year, from both domestic and global investors. As the nation prepares for Ramadan and Eid al-Fitr 1445H, critical commodities such as sugar, cooking oil, flour, corn, and meat ingredients remain secured for the next 1-1.5 months. Additionally, the annual bottled water production of 32.6 billion liters meets the annual demand of 32.5 billion liters, ensuring continued availability.
To fortify food security, the government is exploring alternative sources such as sago, capable of yielding 34.3 million tons of sago starch from approximately 5.5 million hectares of sago land. Processed sago products, particularly sago rice analogs, present a viable substitute, boasting high resistant starch content and a low glycemic index beneficial for diabetes prevention. The Lebaran Bazaar, a significant event preceding Eid, serves as a platform to showcase various food and beverage products, reflecting the escalating demand for staple goods. Ensuring proper distribution and market stock availability remains crucial to meeting consumer needs affordably. Additionally, the bazaar aims to cater to employee and community needs for affordable food, beverages, and clothing while symbolizing the Ministry of Industry's commitment to supporting local artisans and entrepreneurs. In tandem, Indonesia's manufacturing industry continues its positive trajectory, with Purchasing Managers’ Index (PMI) registering sustained expansion at 52.7 in February 2024, instilling optimism about the nation's economic resilience amidst global uncertainties. Minister Agus advocates for strategic policy initiatives, including extending specific natural gas price utilization to more industries, beyond the current seven sectors, to enhance industrial competitiveness and foster value-added production.
